Layoffs Hit Fable Developer

Fable developer Lionhead Studios has been hit by layoffs. Microsoft confirmed the news this morning, providing the following statement to IGN:

“Following the completion of Fable: The Journey the Lionhead studio is in the process of beginning work on its next projects. As is common in the games industry, a reduced headcount is needed as projects kick-off and ramp up as development gets underway. At this time a very small number of positions have been identified as at risk of redundancy and the affected employees were notified today. We are working very closely with those people during this difficult time, to help them explore alternative opportunities within Microsoft including new roles at Microsoft Studios which is actively hiring.”

According to Develop, the layoffs represent less than 10% of Lionhead’s overall headcount and will be completed by the end of 2012. Microsoft also expects to add more than 100 new positions in the UK between now and June 2013.